When Reviewing the Controls and Procedures in the Acquisition and Payment

question 120

Multiple Choice

When reviewing the controls and procedures in the acquisition and payment cycle,

• A) companies cannot record the liability for the acquisition until the invoice is received from the vendor.
• B) the purchasing department has the responsibility for verifying for appropriateness of the acquisition.
• C) personnel who record the acquisitions should not have access to cash or other assets.
• D) the accounts payable department should account for all receiving reports to assure that the occurrence objective is satisfied.

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Definitions:

Effleurage

A form of gentle massage involving smooth, gliding strokes used to relax soft tissue.

Tapotement

A massage technique that involves tapping on the body with the hands, fingers, or a small instrument, thought to increase circulation and relax muscles.

Weight Traction

A therapeutic method that uses weights to apply force to body parts for the purpose of stretching or aligning bones and joints.

Pulley System

A device consisting of wheels and ropes or chains used to lift or move heavy objects by changing the direction of the force applied.